Tennessee sales tax holiday set for July

Tennessee sales tax holiday set for July

June 22nd, 2016 by Staff Report in Business Around the Region

John Whitely, left, and Corin Harpe take a preorder for Joe Manuel while at the Mac Authority at Hamilton Place Mall in preparation for Tennessee's tax-free holiday.

Photo by Dan Henry /Times Free Press.

Tennessee's sales tax holiday this summer will be weekend earlier than it has been in the past, due to a 2016 law change. Starting this year, the sales tax holiday will be held during the last weekend in July, instead of the first weekend in August each year.

From July 29 through July 31, Tennessee shoppers can buy certain back-to-school items without paying any state or local sales taxes, cutting 9.25 percent off the after-tax price of clothing, computers and school supplies in Hamilton County.

"We encourage Tennesseans to mark their calendars so they don't miss this opportunity to save on important items," Gov. Bill Haslam said in a statement.

Under the new law, Tennessee's annual sales tax holiday will be held beginning at 12:01 a.m. on the last Friday in July and end at 11:59 p.m. the following Sunday night. The new law did not change any other aspects of the sales tax holiday. As in prior years, consumers will not pay state or local sales tax on clothing, school and art supplies that cost $100 or less per item and computers that cost $1,500 or less. Tennessee had its first sales tax holiday in 2007.